FocusAsia caprolactam may extend falls on weak benzene, soft demand

12 November 2013 08:54[Source: ICIS news]

By Daphne Ho

SINGAPORE (ICIS)--Spot prices of caprolactam in Asia may continue to weaken amid soft upstream benzene prices, and as producers typically attempt to reduce stockpiles towards the end of the year, industry sources said on Tuesday.

On 6 November, capro was assessed at $2,300-2,340/tonne (€1,725-1,755/tonne) CFR (cost and freight) NE (northeast) Asia, down by $82.50/tonne or 3.4% from mid-October, according to ICIS data.

“Manufacturers in China will want to reduce stockpiles during the year end to ensure liquidity in cash flows for bank loan repayments,” a major regional supplier said.

“This might trigger capro producers to target to offload more cargoes during this period and quote lower prices to spur on buying interest,” the supplier said.